MenuStatement from FAAA chief executive officer Sarah Abood:
“ASIC has released the final figures that will apply for the ASIC Funding levy for the 2022/23 financial year, in two legislative instruments:
“Based on the information in the legislative instruments, we estimate that the final amount will be around $400 per adviser lower than the original estimate, at $2,818 per adviser.
“When ASIC published their estimates for the 2022/23 year, in June, the total cost recoveries for financial advisers providing personal advice to retail clients was estimated at $55.5m. The FAAA challenged this number and the underlying methodology used to arrive at it, as well as the lack of transparency in the calculations. In these final numbers, the total cost for our sector has reduced by nearly $8m to $47.6m.
“We have consistently and strongly advocated for relief for advisers on the ASIC levy, and we are glad to see that the government has listened to those calls.
“We remain concerned at the overall size of the levy, and the lack of transparency around how it is calculated. We will continue to work with ASIC, Treasury and the Minister’s office to support and encourage further changes including the implementation of the improvements to the Industry Funding Model that were recommended by Treasury in its recent review.
“Making financial advice more affordable for Australians starts with making financial planning more affordable to practice, and getting costs down for financial advisers remains a high priority for the FAAA.”
